GBP/CAD Continues Bullish Run as CAD Downtrend Persists

The recent surge in UK CPI figures has sent shockwaves through the broader markets, with many observers anticipating a hawkish response. This sentiment is particularly noteworthy given the recent comments by Governor Bailey, who expressed optimism about the UK's inflation trajectory and suggested that the central bank's interest rate hikes may soon come to a close. Against this backdrop, the GBP has embarked on a new bullish rally following a breakout of the dynamic trendline at 1.67500. Meanwhile, the CAD continues to experience a sustained downtrend, underscoring the potential for the GBP to extend its gains and potentially even surpass the 1.7000 mark.

In light of these factors, traders are advised to monitor the GBP's performance closely and consider potential long positions.